Dismal Science Takes Dim View of Dow 'Record'

Investors and Wall Street analysts rejoiced at the Dow Jones Industrial Average's record close on Tuesday. Economists were unimpressed.

Seen from the perspective of the dismal science, the Dow's close isn't a record at all. That is because economists adjust share-price movements for inflation, a factor stock analysts prefer to ignore. Once inflation is factored in, the Dow's stellar run over the past few years looks more pedestrian...